Consolidation Going On in Nigeria’s Web Hosting Sector – Good Business As Web Solutions Will Grow As Broadband Costs Drop

Web4Africa Ltd today announces its 100% client acquisition of Nairahost, a company that provides domain name services and web hosting to Nigeria.

Established in 2004, Nairahost started with a vision to dominate the Nigerian web hosting industry through offering intelligent business solutions in an efficient manner. Nairahost rose rapidly to dominate the Nigerian web hosting industry. Nairahost before acquisition, was an accredited .ng domain registration and also managed a portfolio of a few thousand domains.

The acquisition by Web4Africa not only enlarges Web4Africa’s market share, but also offers lower pricing and a larger choice of domain extensions to Nairahost customers as well as a world-class technical support for their web hosting services.

Web4Africa would manage Nairahost as an independent entity before fully merging the two operations in early 2011.
The acquisition boosts Web4Africa’s current client base of over 8,400 to about 11,500 after an expected overlap of clients has been considered. It also pushes Web4Africa’s domain portfolio to well over 8,000 and number of domains hosted to well over 4,000.

Based on this statistics, it will be a good effort to know how many Nigerian sites are operated by Nigerian companies. This is going to be difficult since most use Godaddy, Just and other web hosting companies that will be hard to pin down which is operated by a Nigerian company.

If you have data on the number of websites used by Nigerian firms, share with us. With Web4Africa operating about , say, 10,000 sites, they must be in the big league. Ahmad Mukoshy hosts hundreds of customers in his own company. FasHostIT – a division of Fasmicro (our parent company) is also a big player dominating the Eastern Nigerian market.

As broadband access collapses, Nigeria is going to enter into the next phase and that will be huge. Getting these companies hooked online is a winning strategy.